Germany's economy almost stalled in the second quarter as the region's sovereign debt crisis weighed on confidence.
Gross domestic product, adjusted for seasonal effects, rose 0.1 per cent from the first quarter, when it jumped a revised 1.3 per cent, the Federal Statistics Office in Wiesbaden said on Tuesday.
"The German data are certainly disappointing," said Juergen Michels, chief euro-area economist at Citigroup in London.
"Everything is pointing toward stagnation in the euro area in the second quarter."
But with Germany paying the lion's share of eurozone bailouts, Angela Merkel, Germany's chancellor, has so far shown a remarkable ability to get her way in Europe.
Al Jazeera's Nick Spicer reports from Berlin.